Katy Gallagher (ACT, Australian Labor Party) Share this | Hansard source

I rise to speak in support of the International Monetary Agreements Amendment Bill 2017. This bill gives force of law in Australia to the loan agreement between Australia and the International Monetary Fund signed in Canberra on 19 December 2016 and in Washington, DC on 4 January 2017. In 2012, the Deputy Prime Minister and the Treasurer signed the 2012 loan agreement between Australia and the IMF. The agreement was for Australia to provide a contingent bilateral loan to the IMF as part of a broad global effort to increase the resources available to the IMF for crisis prevention and resolution. The 2012 loan agreement expires on 17 July 2017, so the 2016 loan agreement is to continue Australia's commitment to increasing the IMF's available resources for those purposes.

The 2012 loan agreement provided a line of credit to the IMF of around A$8 billion. It was one of 35 agreements the IMF signed with member countries and institutions to provide a third component to the IMF's lending resources after quota resources and the resources available to the IMF through the new arrangements to borrow. The IMF is seeking to renew all 35 agreements with member countries or institutions and to undertake new agreements where possible. Labor supports bringing into force Australia's renewal of the loan agreement and this bill.